Working Papers

The Evolving Partnership

The partnership form has undergone rapid evolution in the U.S., particularly in recent years, as a result of competition between jurisdictions and among business forms. This provides an important lesson for Europe in the wake of Centros. This article shows that competition creates a dynamic law that is responsive to the varied needs of modern firms. This is preferable to uniform lawmaking that erroneously assumes that lawmakers can anticipate what optimal rules should be over time and across different firms.